INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	9 Months Ended
Sep. 30, 2026
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.
ENTERGY ARKANSAS, LLC
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.
ENTERGY LOUISIANA, LLC
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.
ENTERGY MISSISSIPPI, LLC
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.
ENTERGY NEW ORLEANS, LLC
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.
ENTERGY TEXAS, INC.
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.
SYSTEM ENERGY RESOURCES, INC.
Income Tax Contingency [Line Items]
INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)	INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion. Income Tax Audits 2019-2021 IRS Audit Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit. Other Tax Matters Inflation Reduction Act of 2022 In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K. In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing. In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return. In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms. Arkansas Corporate Income Tax Rate Change In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas. Amortization of Tax Gross-up on Customer Advances Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.

INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)

See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion.

Income Tax Audits

2019-2021 IRS Audit

Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit.

Other Tax Matters

Inflation Reduction Act of 2022

In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K.

In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing.

In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return.

In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms.

Arkansas Corporate Income Tax Rate Change

In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas.

Amortization of Tax Gross-up on Customer Advances

Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.

Income Tax Contingency [Line Items]

INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)

See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion.

Income Tax Audits

2019-2021 IRS Audit

Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit.

Other Tax Matters

Inflation Reduction Act of 2022

In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K.

In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing.

In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return.

In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms.

Arkansas Corporate Income Tax Rate Change

In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas.

Amortization of Tax Gross-up on Customer Advances

Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.

Income Tax Contingency [Line Items]

INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)

See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion.

Income Tax Audits

2019-2021 IRS Audit

Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit.

Other Tax Matters

Inflation Reduction Act of 2022

In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K.

In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing.

In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return.

In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms.

Arkansas Corporate Income Tax Rate Change

In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas.

Amortization of Tax Gross-up on Customer Advances

Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.

Income Tax Contingency [Line Items]

INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)

See “Income Tax Audits” and “Other Tax Matters” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, the Inflation Reduction Act of 2022, and other income tax matters involving Entergy. The following are updates to that discussion.

Income Tax Audits

2019-2021 IRS Audit

Entergy and the Registrant Subsidiaries anticipate the resolution of the IRS audit of the 2019 through 2021 tax years and expect to record the effects of the adjustments associated with such audit by the end of 2026 or in early 2027. As discussed in Note 3 to the financial statements in the Form 10-K, the resolution of audit issues could result in significant changes to the amounts of unrecognized tax benefits. Entergy may file amended income tax returns for post-2021 tax years, as considered necessary, depending on the outcome of the 2019-2021 IRS audit.

Other Tax Matters

Inflation Reduction Act of 2022

In April 2026 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of the 2025 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Louisiana will accrue carrying charges to its customers at its weighted average cost of capital. The order further provides that customers will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Louisiana will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers. This treatment is consistent with the approach previously approved for the 2024 nuclear production tax credits, as discussed in Note 3 to the financial statements in the Form 10-K.

In June 2026, as part of Entergy Mississippi’s 2026 formula rate plan filing, the MPSC issued an order approving the joint stipulation between the Mississippi Public Utilities Staff and Entergy Mississippi that included, among other items, the mechanism for treatment of the monetization of past and future nuclear production tax credits. The order allows Entergy Mississippi to retain the net proceeds of the monetized credits while the associated tax position remains uncertain. While retaining these proceeds, Entergy Mississippi will accrue carrying charges at its average cost of debt, as determined by Entergy Mississippi’s debt rate in its current formula rate plan. The order further provides that Entergy Mississippi will be responsible for any associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the credits or the audit period expires without a disallowance, Entergy Mississippi will commence flowing the net proceeds of the nuclear production tax credits, including carrying charges, to its customers in accordance with the return period to be determined by the MPSC. Carrying charges at Entergy Mississippi’s average cost of debt will only apply to the value of the credits that are allowed by the IRS. See Note 2 to the financial statements herein for discussion of Entergy Mississippi’s 2026 formula rate plan filing.

In second quarter 2026, Entergy Arkansas, Entergy Louisiana, and System Energy entered into agreements with third-party purchasers to transfer in the third and fourth quarters of 2026 certain nuclear and solar production tax credits for cash, including a reasonable discount, prior to the filing of Entergy’s 2025 federal income tax return.

In September 2026, Entergy Arkansas, Entergy Louisiana, and System Energy transferred the 2025 nuclear production tax credits to third parties and received cash of $99.2 million, $55.8 million, and $68.8 million, respectively, resulting in total Entergy cash receipts of $223.8 million. The proceeds from the transfers reflected a market-based discount. In accordance with the Unit Power Sales Agreement and the MSS-4 replacement tariff, portions of the net proceeds from the transfers of the nuclear production tax credits were paid by Entergy Arkansas, Entergy Louisiana, and System Energy to the buyers of energy and capacity under those wholesale agreements in October 2026. In addition, Entergy Arkansas transferred its 2025 solar production tax credits to a third party and received cash of approximately $32.1 million in October 2026. The monetized value of these solar production tax credits, net of applicable expenses, is expected to be addressed in retail rates in accordance with applicable regulatory mechanisms.

Arkansas Corporate Income Tax Rate Change

In May 2026 the State of Arkansas enacted a corporate income tax rate reduction from 4.3% to 4.1%, effective January 1, 2027. As a result of the rate reduction, Entergy Arkansas recorded a regulatory liability for income taxes of approximately $16 million. The regulatory liability includes both the excess deferred income taxes and the associated tax gross-up required under the retail and wholesale ratemaking formulas.

Amortization of Tax Gross-up on Customer Advances

Amortization of tax gross-up on customer advances, including customer advances for construction, was $43.5 million for Entergy, $7.0 million for Entergy Arkansas, $25.9 million for Entergy Louisiana, $9.1 million for Entergy Mississippi, and $1.5 million for Entergy Texas for the three months ended September 30, 2026 and $20.8 million for Entergy, $2.1 million for Entergy Arkansas, $14.8 million for Entergy Louisiana, $2.6 million for Entergy Mississippi, and $1.3 million for Entergy Texas for the three months ended September 30, 2025. Amortization of tax gross-up on customer advances, including customer advances for construction, was $106.7 million for Entergy, $11.2 million for Entergy Arkansas, $68.4 million for Entergy Louisiana, $24.9 million for Entergy Mississippi, and $2.2 million for Entergy Texas for the nine months ended September 30, 2026 and $45.4 million for Entergy, $3.4 million for Entergy Arkansas, $28.2 million for Entergy Louisiana, $10.2 million for Entergy Mississippi, and $3.6 million for Entergy Texas for the nine months ended September 30, 2025. Amortization of tax gross-up on customer advances is included in miscellaneous – net in other income on the income statement.